UnitedHealth Group (NYSE:UNH) Trading Up 4% After Better-Than-Expected Earnings

UnitedHealth Group Incorporated (NYSE:UNH) shares were up 4% during mid-day trading on Wednesday after the company announced better than expected quarterly earnings. The stock traded as high as $294.94 and last traded at $294.0820. Approximately 23,208,502 shares traded hands during trading, an increase of 103% from the average daily volume of 11,418,140 shares. The stock had previously closed at $282.70.

The healthcare conglomerate reported $2.11 earnings per share (EPS) for the quarter, topping the consensus estimate of $2.09 by $0.02. The company had revenue of $113.22 billion for the quarter, compared to analyst estimates of $113.38 billion. UnitedHealth Group had a return on equity of 19.23% and a net margin of 4.04%.UnitedHealth Group’s quarterly revenue was up 12.3% on a year-over-year basis. During the same period in the prior year, the firm posted $6.81 EPS. UnitedHealth Group has set its FY 2026 guidance at 17.750- EPS.

UnitedHealth Group Announces Dividend

The firm also recently disclosed a quarterly dividend, which was paid on Tuesday, December 16th. Shareholders of record on Monday, December 8th were issued a dividend of $2.21 per share. The ex-dividend date was Monday, December 8th. This represents a $8.84 annualized dividend and a yield of 3.0%. UnitedHealth Group’s dividend payout ratio is presently 46.14%.

UnitedHealth Group News Summary

Here are the key news stories impacting UnitedHealth Group this week:

• Positive Sentiment: Q4 showed a modest EPS beat and segment strength (Optum Rx helped results), which underpins near‑term earnings resilience. UnitedHealth posts modest earnings beat, soft revenue guidance
• Positive Sentiment: Company emphasizes margin improvement and capital returns (dividend + buybacks), which analysts point to as supportive for a rebound and make the pullback a buying opportunity for some investors. Trump Triggers Buying Opportunity in UnitedHealth Group
• Positive Sentiment: Several firms reiterated buy/outperform stances even after trimming targets, signaling continued analyst support under the new outlook. Benzinga coverage of analyst target changes
• Neutral Sentiment: Earnings call transcripts and analyst writeups provide more detail on cost actions and the 2026 plan; these will guide next moves as investors parse execution risk vs. potential upside. Q4 2025 earnings call transcript
• Negative Sentiment: CMS proposed Medicare Advantage rates nearly flat for 2027, a direct hit to insurer revenue assumptions and the main catalyst for the large selloff. Trump Administration proposes keeping steady Medicare rates
• Negative Sentiment: Management set 2026 revenue guidance implying roughly a 2% decline (first drop in decades), a structural concern for growth expectations. UnitedHealth expects revenue decline in 2026
• Negative Sentiment: Q4 included a roughly $1.6B restructuring charge that reduced reported profits and highlights near‑term execution costs. UNH Takes $1.6B Hit Amid Restructuring
• Negative Sentiment: Large one‑day market cap loss, heavy volume and reports of politicians selling UNH ahead of the decline have added reputational and sentiment pressure. Politician stock sales before UNH crash

Analyst Ratings Changes

A number of equities research analysts have recently issued reports on UNH shares. Wells Fargo & Company increased their price target on shares of UnitedHealth Group from $267.00 to $400.00 and gave the stock an “overweight” rating in a report on Tuesday, October 7th. Mizuho lifted their price objective on UnitedHealth Group from $300.00 to $430.00 and gave the company an “outperform” rating in a research note on Thursday, October 9th. Jefferies Financial Group dropped their price target on UnitedHealth Group from $418.00 to $340.00 and set a “buy” rating for the company in a research report on Wednesday. UBS Group dropped their target price on shares of UnitedHealth Group from $430.00 to $410.00 and set a “buy” rating for the company in a research report on Wednesday. Finally, JPMorgan Chase & Co. upped their target price on shares of UnitedHealth Group from $310.00 to $425.00 and gave the stock an “overweight” rating in a research report on Thursday, October 9th. One analyst has rated the stock with a Strong Buy rating, seventeen have given a Buy rating, nine have given a Hold rating and two have issued a Sell rating to the stock. Based on data from MarketBeat.com, the stock presently has a consensus rating of “Moderate Buy” and an average price target of $380.67.

Institutional Inflows and Outflows

Several hedge funds have recently modified their holdings of the business. Norges Bank bought a new position in UnitedHealth Group during the second quarter valued at approximately $3,837,207,000. Capital Research Global Investors grew its stake in shares of UnitedHealth Group by 126.9% during the 3rd quarter. Capital Research Global Investors now owns 13,042,049 shares of the healthcare conglomerate’s stock valued at $4,503,419,000 after purchasing an additional 7,293,009 shares during the period. Berkshire Hathaway Inc bought a new stake in shares of UnitedHealth Group during the 2nd quarter valued at $1,572,193,000. Dodge & Cox raised its stake in UnitedHealth Group by 117.7% during the 2nd quarter. Dodge & Cox now owns 8,750,560 shares of the healthcare conglomerate’s stock worth $2,729,912,000 after acquiring an additional 4,730,192 shares during the period. Finally, Capital World Investors raised its stake in UnitedHealth Group by 18.8% during the 3rd quarter. Capital World Investors now owns 21,766,922 shares of the healthcare conglomerate’s stock valued at $7,516,107,000 after purchasing an additional 3,439,182 shares during the period. Hedge funds and other institutional investors own 87.86% of the company’s stock.

UnitedHealth Group Stock Performance

The company has a market capitalization of $266.39 billion, a P/E ratio of 15.35, a P/E/G ratio of 2.12 and a beta of 0.42. The business’s fifty day simple moving average is $332.08 and its 200-day simple moving average is $323.81. The company has a debt-to-equity ratio of 0.71, a quick ratio of 0.82 and a current ratio of 0.82.

About UnitedHealth Group

UnitedHealth Group Inc is a diversified health care company headquartered in Minnetonka, Minnesota, that operates two primary business platforms: UnitedHealthcare and Optum. Founded in 1977, the company provides a broad range of health benefits and health care services to individuals, employers, governmental entities and other organizations. Its operations span commercial employer-sponsored plans, individual and Medicare and Medicaid programs, and services for customers and health systems in the United States and selected international markets.

UnitedHealthcare is the company’s benefits business, administering health plans and networks, managing provider relationships, and offering coverage products for employers, individuals, and government-sponsored programs.